The increasing trend in existing home sales activity continued through January, and for the first time rose above year-ago levels when the home buyer tax credit was in effect. This marks the sixth monthly increase since July when the tax credit expired, and indicates a recovery that’s gaining a firmer footing without government support.
Aloysius Donohue plans to officially open a new Keller Williams office in Ridgewood in the next 30 days, having left his namesake firm, Marron Gildea & Donohue to do so.
Keller Williams offers innovative educational resources along with cutting edge technology and a revolutionary profit sharing system, Donohue says. He anticipates that when the Keller Williams office opens its doors, it will be one of the largest real estate offices in…
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Ridgewood NJ Neighborhoods – Colonial Square
Ridgewood Homes Average “Days on Market” Near 3 Year Low
This is my favorite Ridgewood Neighborhood and not just because I live here. The Colonial Square section of Ridgewood is a throwback to simpler times. Neighbors greet each other by name, folks stop by for leisurely chats while walking their dogs and children don’t need play-dates but rather walk from backyard to backyard to play with other neighborhood children.
Colonial Square is within easy walking distance of Ridgewood’s Downtown, Ridgewood Train Station, Elementary, Middle and High Schools, Graydon Pool, Veterans Field, Ridgewood Public Library, Ridgewood Duck Pond and more.
Despite what you hear about home values on the national front, Ridgewood Real Estate remains strong and Colonial Square in particular is very strong. Consider that 3 Colonial Square homes were listed for sale in the past month and all three were “under contract” in less than two weeks. See links below.
465 Fairway Road – Ridgewood NJ
480 Overbrook Road – Ridgewood NJ
453 Colonial Road – Ridgewood NJ
By the way, I created the name Colonial Square for the purposes of this article. Colonial Road is squarely in the middle of this neighborhood, and it is filled with beautiful Colonial Homes, so I thought it made sense. Besides, this great Ridgewood Neighborhood deserves a name.
Other Ridgewood Articles
Peeling back the national numbers and focusing on New Jersey specific statistics will give you a much better idea of what is going on in Ridgewood and surrounding areas. Below is a recent video and a statement issued by the New Jersey Association of Realtors.
Reacting to the NATIONAL ASSOCIATION OF REALTORS®‘ (NAR) 2010 Second Quarter Metro Home Prices/State Resales report, New Jersey Association of REALTORS® (NJAR®) Chief Executive Officer Jarrod C. Grasso, RCE, today issued the following statement:
“There is no denying the impact the federal home buyer tax credit has had on many local real estate markets. It provided an incentive for first-time purchasers to obtain the American dream of homeownership and, in turn, provided an outlet for sellers to trade up to the homes of their dreams. Many of the trade-up buyers were also able to receive a federal tax credit for their purchase.
“The effect that the stimulus had on New Jersey in particular can be seen directly by looking at the increase of sales activity during the second quarter of this year. Existing home sales in the Garden State increased 15.4 percent from the first quarter of 2010 to the second. They are 29.9 percent higher than the second quarter of last year. New Jersey home sales have also far outpaced the nation, which only showed a quarterly sales increase of 9.1 percent and a yearly increase of 17.3 percent.
“Each of New Jersey’s metro areas have seen year-over-year growth in median home price. This may be a sign of market stability. Even with the tax credit out of the equation, today’s buyers can experience record-low interest rates and affordable prices. However, these conditions will not last forever. Consumers will need to rely on the U.S. government and private businesses to create jobs to revive confidence, which should thus revitalize their confidence in the housing market.”
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What Clients Are Saying About Al Donohue…
“Let me just start by saying…the only realtor you should use to sell your house is Al Donohue. We want to take him with us to our new location so that when we sell there, he could be our agent. Now let me tell you why we think Al is unsurpassable as a seller’s agent.
Process: Al took us through the process of getting our home on the market – pricing, timing, marketing approach, preparation and staging with efficiency, professionalism, empathy and thoroughness beyond any realtor we have ever done business with. Al far exceeded our expectations and left no stone unturned.
Tools:Al applies technology to the greatest advantage of his clients. From his well designed websites, to his leveraging of wireless communications, to his Internet statistics which give you a real time update of how many people are looking at your home via his website. With Al’s use of technology nothing is overlooked and you get maximum exposure to the right buyer which is critical in the current market state.
Results: He sold our house in a “buyers” market in 3 days for well over asking price. The asking price he suggested and we agreed to was above what we originally thought the market would warrant but Al’s expertise and savvy educated us and proved to be right on target.
Al Donohue is everything his marketing literature advertises. He instills confidence, integrity, expertise, honesty and sold our house in a difficult market in what we considered record time. Thanks Al.
The VA Mortgage Program boasts some exclusive and attractive perks for veterans.
Although somewhat similar to conventional loans, big differences set the VA Loan apart. The government backs the VA program. Therefore, lenders are able to offer lower interest rates. Also, the VA does not require a down payment on the home. Most conventional loans require an 18% to 20% down payment.
Veteran’s credit scores also do not need to be as high as is required for a conventional loan. Even people with great scores can be denied for conventional mortgages. So breathing a tad easier with the VA loan is a nice thought. However, a veteran should work to raise his or her score as high as possible. A higher credit score and reasonable debt to income ratio could help one to get a loan amount up to $729,000.
With conventional loans, private mortgage insurance can cost an extra $100 to $700 per month! The VA-backed loan does not charge PMI.
A lending counselor can help a service member gather all the necessary documentation needed for a VA loan. The Department off Veterans Affairs website provides a detailed list of what’s required as well.
The service member must be able to prove that they served in the military for 90 days during wartime and 181 days during a time of peace. He or she must have been honorably discharged. Veterans, active duty personnel, reservists and National Guard members can qualify. Also, some surviving spouses might be eligible for the VA loan.
Right now, the VA loan is a stress free process for veterans and their families. Applying is a simple talk with VA loan counselor and a few more simple steps. Do not let the opportunity pass by.
Mortgage guidelines for Ridgewood Home Buyers are becoming more strict and down-payment requirements are increasing. It wasn’t that long ago that you could finance a home with zero down. Today, many mortgages require at least ten percent down.
These changes have led to an increase in the number of buyers accepting cash gifts from family members
Gifts are Ok in most cases. But if you don’t accept the gift the “correct” way, the bank could reject it.
You can’t simply dump a cash gift into your bank account. You need to follow a series of steps and keep good records.
Banks and brokers require these steps for 2 reasons.
1. They want to make sure that the cash gift is not laundered money.
2. They want to make sure the gift is really a gift and not some sort of loan.
Banks will typically require that a letter, like the one below, be included in your application:
I am the (relationship to borrower) of (borrower). Please let this letter serve as proof that I am gifting (name of borrower ) (gift amount) to be used for the a home at (address of property).
This is a gift, not a loan, and I do not expect to be repaid.
Sincerely,
[Gifter Signature]
Buyers receiving cash gifts should make sure that gifted funds are not commingled at the time of deposit. If the cash gift is for $15,00 the bank’s deposit slip should indicate that a $15,000 deposit was made. No more, no less. Don’t add a two hundred dollar deposit to the transaction. The gift deposit should be a separate and distinct transaction.
Gifting funds between family members can create both legal and tax liabilities. If you’re unsure about how donating or receiving a gift may impact you, call or email me directly. If I can’t help you with your questions, I can refer you to somebody that can.
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What Clients Are Saying About Al Donohue…
Sanjay and Uvarshi Tiwary – Ridgewood
“Thank you very much for helping us sell our house. You and your team have lived up to the reputation of representing a great company and fantastic individuals. You have proven extremely trustworthy and effective in an otherwise terrible real estate market. Overall we are extremely fortunate to have had chosen you as our representative for this transaction. I want you to know that we will return to NJ in a few years and we’ll be knocking at your door to help us find a place!”
Nationwide Pending Home Sales Chart
The National Association of Realtors (NAR) said Monday its seasonally adjusted index of sales contracts rose 8.2 percent from January.
The Pending Home Sales Index is an important measurement. A pending home is a home that is under contract to sell - but has not yet closed.
According to the NAR, 80% of homes under contract will close within 60 days. So, a higher Pending Sales figure in February projects that April’s Home Sales will be higher as well.
If you’re a Ridgewood home buyer today, no doubt you’ve noticed the extra market activity.
On homes that are priced well, multiple offer situations are becoming more common and sales prices are getting closer to the listing price. Also, days on market is falling. These are the signals of a buyer-heavy market. This usually drives property supplies down and prices up.
It’s not a bad time to be selling a Ridgewood Home.
In November 2009, when the home buyer credit faced its first expiration, we saw a pattern of buyers rushing to beat the deadline. There’s no reason to expect that won’t happen again. And as it does, Ridgewood Pending Home Sales should continue to climb. Average home sale prices should also rise.
Al Donohue heads up Marron Gildea & Donohue’s Ridgewood office and is one of the top agents in Bergen County.
Al attributes much of his success to lessons learned during his years as a top sales executive on Wall Street. Most of Al’s clients are busy professionals and business owners and they love the fact that he speaks their language and understands the incredible demands on their time. Al stays in constant touch with his clients not only through phone calls and face-to-face meetings but also through email, instant messaging, and web pages created specifically for his clients. Clients can view the status of the sale of their home, read feedback from agents that have shown their home and review the status of their personal marketing plan 24-hours-a-day via their personal web page.
Al understands that technology is just a tool and says it is really his focus on providing world class customer service that has enabled him to achieve great results for his clients. He says the key to his success has been his ability to listen more than he speaks and always put the needs of his clients first.
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Check out the list below or Click Here to watch the video for more detailed info.
Click Image to View Video
1. Not checking all 3 credit reports.
2. Closing credit accounts thus reducing your overall available credit. Pay ‘em off – but don’t close them.
3. Carrying a credit balance of over 30% of available credit on a given account.
4. Making large purchases right before applying for your mortgage.
5. Requesting a reduction in your credit limit.
6. Spending more than 1 month shopping for a mortgage.
7. Using one credit card to pay off another.
Some of this advice can seem counter-intuitive but I have heard similar advice from several credit experts and local mortgage reps. I have also witnessed firsthand the negative impact some of these mistakes have had on client’s credit scores.
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It’s hard to answer this question myself without sounding like a complete blowhard so please click below to see what clients and local newspapers had to say.
Click here to see some of my current listings…
Existing home sales have increased 23% from a year ago and home inventory levels are at a 7 month supply which is the lowest since Feb of ‘07. Pending home sales are also up sharply.
It seems that beleaguered homeowners may soon have something to smile about as we slowly move from a Buyer’s Market to a more balanced market and perhaps, in time, back to a Seller’s Market. Sellers will start to see higher prices and may need to give fewer concessions to buyers in coming months.
Ridgewood Real Estate Report – Average Sale Price Up 5.4% in October
Good News for Ridgewood Home Buyers and Sellers: Home Buyer Tax Credit to be Extended…and Expanded
Bergen County Real Estate: Lower Inventory Levels and More Homes Under Contract
New Jersey Home Sales Rise for Sixth Month In a Row
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Al Donohue heads up Marron Gildea & Donohue’s Ridgewood office and is one of the top agents in Bergen County.
Al attributes much of his success to lessons learned during his years as a top sales executive on Wall Street. Most of Al’s clients are busy professionals and business owners and they love the fact that he speaks their language and understands the incredible demands on their time. Al stays in constant touch with his clients not only through phone calls and face-to-face meetings but also through email, instant messaging, and web pages created specifically for his clients. Clients can view the status of the sale of their home, read feedback from agents that have shown their home and review the status of their personal marketing plan 24-hours-a-day via their personal web page.
Al understands that technology is just a tool and says it is really his focus on providing world class customer service that has enabled him to achieve great results for his clients. He says the key to his success has been his ability to listen more than he speaks and always put the needs of his clients first.
Click below and let’s connect on Facebook, Twitter, LinkedIn, FriendFeed…
From MND Newswire…
“It is finally official. The homebuyers’ tax credit has been extended to April 30, 2010.
President Barack Obama approved the extension as part of a $24 billion economic stimulus bill signed Friday. The bill also includes an extension of unemployment benefits to the longtime jobless and tax credits for some businesses.
The housing tax credit portion of the bill extends the $8,000 tax credit for home buyers who are purchasing their first home from the current November 30 deadline and expands the program to offer a credit of $6,500 to other homeowners who have lived in their current home for at least five years and are seeking to relocate.”
Click here to read the full article.
Good News for Ridgewood Home Buyers and Sellers: Home Buyer Tax Credit to be Extended…and Expanded
Top Ten Reasons to Relocate to Ridgewood New Jersey
Home Buyer’s Tax Credit Plus 4 Other Reasons NOW is the Time to Buy a Ridgewood Home
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